Question

A contract most likely will be declared unconscionable if

a. it allows for an extremely high rate of interest to be charged.
b. it is signed by a minor for an item of luxury.
c. it is oppressive and one-sided.
d. it contains a cancellation clause.

Answer 1

A contract most likely will be declared unconscionable if it is oppressive and one-sided.

Answer: Option C

Explanation:

When the contract is one-sided which showcase unfairness to one party hence under law unenforceable, therefore termed as an unconscionable contract. Such a contract abandons party with no meaningful or real choice basically the reason is immense variations in bargaining power between the parties.

Such unconscionable contract is termed as the void in a lawsuit and no damages funds or support will be granted and parties will be made free from the contractual foundation.